Dear LN experts,

Currently in Baan4, when i create a direct delivery sales order, the cost taken up in tdsls051 and tdsls045 tables are still the standard cost from the item master table. I would like the cost of this order to be the purchase price of the purchase order that is linked to this sales order.
Can LN do this? If can, then i will look into upgrading. If not, i have a problem. Any suggestion?


eg.

SO with sales price USD 100.00
Standard cost of this item is USD 76.00
For this order, I tick on Direct Delivery, so a PO can be generated and linked to the sales order.
In the PO, purchase price is entered as USD 85.00

But when I check tdsls051 and tdsls045, the cost there is USD 76.00
I would like actual cost taken up for the sales, since I am buying the item at USD 85.00 today.

I know LN has actual costing as one of its costing methods. But is this how it works?

Thanks and regards,

If I am correct, you need to change the method of calculating the cost price on the "Maintain cost price calculation code". Second, you need to run the "Update Cost Prices session".

Again, I'm not sure if this will work....

Hi,

Direct delivery is a functionality confined to Distribution and it doesn't instruct finance anything. I haven't seen LN but worked in Baan V and assume the same would be the case in LN too. As far as costing is concerned everything is tied to master data set-up. For your needs you have to go for actual costing. There are options like LIFO, FIFO, MAUC, Lot costing etc. Also, if you want you can have FIFO for costing purpose but at the same time issue the item as LIFO in warehouse, for example. If you want the exact cost has to be applied then you have to go for lot costing(I think. I haven't used this). May be, direct delivery + lot costing combination may fulfil your needs in a simple way but I am not sure.

The 'lot pricing' that is available in Baan IV is only for inventory valuation. Integration entries will always be at standard costs.

Regards,
srikarthy

Hi,

You say, Lot costing in Baan IV is only for inventory valuation. But for integration to finance, they use standard costing. Is this still the same for LN?

My company need to have the purchase price of the item/lot to be taken up in inventory valuation and also for finance.

Thanks and regards,

I think it is different in Baan 5 as well as LN and your requirement can be achieved. It seems finance experts are not responding to your query. May be they do not see your thread since it is in distribution forum.

regards,
srikarthy

I'm also not a finance expert.
However, I know that the purchase price is used to determine the COGS of the sales order.
Kingsto is that what you are looking for?